Question

Justine Corporation operates manufacturing facilities in State G and State H. In addition, the corporation owns nonbusiness rental property in H. Justine incurred the following compensation expenses.

Thirty percent of the time spent by the administrative staff located in H and 20% of the time spent by officers located in H are devoted to the operation, maintenance, and supervision of the rental property. G includes all income in the definition of apportionable income, while H excludes nonbusiness income from apportionable income. Only G includes officers’ compensation in the payroll factor numerator. Determine Justine’s payroll factors for G and H.